General Dynamics Subcontracts Armored Vehicle Work to Thales

On Monday, Thales Canada of Saint-Laurent announced that it has been awarded a $12.4 million subcontract from American defense contractor General Dynamics , which is hiring Thales to supply 400 sets of infrared camera sensors and display modules for the Light Armoured Vehicle III Upgrade Project.

LAV III is described as "one of four Family of Land Combat Vehicle projects announced by the Government of Canada," and one that aims to "improve the protection, mobility, and lethality of the Light Armoured Vehicle III fleet." By modernizing a portion of Canada's LAV III fleet, the country's Ministry of National Defence says it hopes to extend the operational usefulness of the vehicle through 2035.

Canada awarded General Dynamics Land Systems' Canadian subsidiary a $1.1 billion contract in October 2011, ordering 550 upgraded LAV IIIs, conditioning the contract award on General Dynamics' reinvesting 100% of the contract value "in business activities in the Canadian economy." By awarding the present subcontract to Thales -- itself a subsidiary of a French defense firm -- General Dynamics is fulfilling part of its promise.